Page 266 - IOM Law Society Rules Book

ADVOCATES ACCOUNTS RULES 2008

(ii) Rule 21(1)(b) deals with the specific problems of legal aid practitioners by allowing a
mixed or indeterminate payment of costs (or even a payment consisting entirely of
unpaid professional disbursements) to be paid into an office account, which for the
purpose of rule 21(1)(b) must be an account at a bank or building society. However, it
is always open to the advocate to comply with rule 19(1)(a) to (c), which are the
options for all advocates for the receipt of costs.
(iii) A third party payment may also include unpaid professional disbursements or outstanding
costs of the client’s previous advocate. This part of the payment is client money and
must be kept in a client account until the advocate pays the professional disbursement
or outstanding costs.

Rule 22 – Withdrawals from a client account

(1) Client money may only be withdrawn from a client account when it is:

(a) properly required for a payment to or on behalf of the client (or other person on
whose behalf the money is being held);

(b) properly required for payment of a disbursement on behalf of the client;

(c) properly required in full or partial reimbursement of money spent by the
advocate on behalf of the client;

(d) transferred to another client account;

(e) withdrawn on the client’s instructions, provided the instructions are for the
client’s convenience and are given in writing, or are given by other means and
confirmed by an advocate to the client in writing;

(f) a refund to an advocate of an advance no longer required to fund a payment on
behalf of a client (see rule 15(2)(b));

(g) money which has been paid into the account in breach of the rules (for example,
money paid into the wrong separate designated client account) - see paragraph
(4) below; or

(h) withdrawn following the arrival of the anticipated telegraphic transfer where
previously money has been paid into the account in accordance with Note
(viii)(b).

(2) Controlled trust money may only be withdrawn from a client account when it is:
(a) properly required for a payment in the execution of the particular trust,
including the purchase of an investment (other than money) in accordance with
the trustee’s powers;

(b) properly required for payment of a disbursement for the particular trust;

(c) properly required in full or partial reimbursement of money spent by the
advocate on behalf of the particular trust;

Rule 22 – Withdrawals from a client account page 23